Enabling the Connected Ecosystem—The Role of M2M and IoT Solution Providers
This Frost & Sullivan market insight presents an analysis of the North American machine-to-machine (M2M) and Internet-of-Things (IoT) asset lifecycle management market. It highlights the key steps in M2M and IoT solution design, development, deployment, and management and it discusses the key success factors for M2M and IoT solution providers. It also presents the key enterprise considerations for selecting a M2M and IoT partner. Throughout this insight, the terms enterprise and organization are used interchangeably.
Market Overview and Key Definitions
M2M communication refers to digital communication between an endpoint and an enterprise’s backend system over public or private networks. A sensor-based tank monitoring system that monitors liquid in a storage tank and sends an automated message to a central monitoring station when the level of the liquid in the tank goes below a certain level is an example of automated M2M communication. An in-vehicle navigation system that communicates with the service provider’s backend, in response to specific commands of a human operator, to present the relevant information to the vehicle's driver or passengers is another example of M2M communication.
The term IoT is used to describe M2M applications that merge the machine (or the digital) world with the physical world. According to Frost & Sullivan, IoT refers to an open connectivity framework that connects machines with other machines, with various application systems (such as enterprise resource planning (ERP), customer relationship management (CRM) systems, and data warehousing platforms), and with people. It involves virtualization and “datafication” of everyday objects, endowing the physical and virtual objects with an identity and interconnecting objects for the purpose of interacting with and/or monitoring them. Advanced IoT cloud platforms, pre-packaged template-based IoT solutions, and advanced business management tools are expected to usher in the era of IoT in North America.